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Another official, defending the government's decision to take a majority ownership stake in the world's second largest company by sales, said, "We had a choice as guardians of taxpayer dollars to either take this equity that we could receive on behalf of U.S. taxpayers, or we could have simply left it behind and give it to others, and taxpayers would've been left far behind in the final outcome."

The specifics of the deal are as follows:

• A corporate restructuring so that the company can break even selling just 10 million cars per year. Previously, the company needed to sell 16 million.

• Concessions from the UAW.

• Bondholders representing at least 54 percent of GM’s unsecured bonds have agreed to exchange their portion of the company’s $27 billion unsecured debt for their pro-rata share of 10 percent of the equity of new GM, plus warrants for an additional 15 percent of the new company.

• $30.1 billion of financing, which along with the money the government has already invested will give the feds $8.8 billion in debt and preferred stock in the new GM and approximately 60 percent of the equity of the new GM. The Treasury will also have the right to appoint several initial members of the board.

• The governments of Canada and Ontario will loan $9.5 billion, receiving approximately $1.7 billion in debt and preferred stock and approximately 12 percent of the equity of the new GM.

• The new GM will honor existing consumer warranties.

All this comes even though auto industry experts said as recently as a few months ago that bankruptcy for a major car company would mean disaster, since people wouldn’t buy cars from a bankrupt automaker.

In December, UAW President Ron Gettelfinger said bankruptcy would make it nearly impossible to continue in business. “There’s no question in my mind that people would not buy their vehicles,” he told The New York Times at the time.

But there is no such talk this week, as GM gears up for what the officials call an expedited bankruptcy. Rather, officials seemed confident that the new GM would emerge from the bankruptcy quickly, with several offering a time frame of just 60 to 90 days.

“This is not just any company we’re talking about, this is GM,” President Obama said. “I am also confident that if well managed a new GM will emerge that can provide a new generation of Americans with a chance to live out their dreams.”

Capitalism depends on socialism to continuously bail it out to keep it alive. When that doesn't happen capitalist states turn into the sort of third-world countries one finds in Africa, central Asia, and South America. If capitalism is so dependent on socialism, why not just get rid of it. Under socialism, if we are voting for the politicians, there is an accountability that businesses have to uphold. Under capitalism, no such accountability exists, which is why CEOs are willing to rape their companies for all they're worth and let them die. Hopefully, instead of constantly saving capitalism, we can let the sorry dog die, and socialize, baby, socialize!

I know the Repugs will have a field day with this one. Nevertheless, I am glad that the Government bailed out GM. I heard on the news that these retired employees will get to keep their pensions. And the company might recover much quicker with government help.

I know the Repugs will have a field day with this one. Nevertheless, I am glad that the Government bailed out GM. I heard on the news that these retired employees will get to keep their pensions. And the company might recover much quicker with government help.

I guess Ford has sold its last vehicle to the government . The biggest mistake companies make with Bankruptcy is waiting too long to file , when they should have seen it coming . Ford should file a BK reorganization now and get out of their UAW contracts and legacy costs . They will then drive GM , Government Motors into the ground . Let us just see how far Obambi will go with this Fascist take over of industry . The repugnicans and the rats don't just hate my signature line , they hate the dictionary .

I know the Repugs will have a field day with this one. Nevertheless, I am glad that the Government bailed out GM. I heard on the news that these retired employees will get to keep their pensions. And the company might recover much quicker with government help.

By help you mean the government taking money from those who earned it , at the point of a gun if neccessary and under threat of imprisonment, and giving it to those making a product the tax payer may not want to subsidize , and maybe even competes against his own company . Thanks for the help . Please look up fascism in the dictionary . "Gee , I didn't think it would go that far" is exactly what good Germans said .

Capitalism depends on socialism to continuously bail it out to keep it alive. When that doesn't happen capitalist states turn into the sort of third-world countries one finds in Africa, central Asia, and South America. If capitalism is so dependent on socialism, why not just get rid of it. Under socialism, if we are voting for the politicians, there is an accountability that businesses have to uphold. Under capitalism, no such accountability exists, which is why CEOs are willing to rape their companies for all they're worth and let them die. Hopefully, instead of constantly saving capitalism, we can let the sorry dog die, and socialize, baby, socialize!

Yes, I mean we have so many success stories like the US out there that show how capitalism is a big failure.

know the Repugs will have a field day with this one. Nevertheless, I am glad that the Government bailed out GM. I heard on the news that these retired employees will get to keep their pensions. And the company might recover much quicker with government help.

Yes, I mean lets just believe the news. How pathetic.

You do realise that the money going to make sure these retired employees keep thier exhorbant pensions is coming out of the pockets of millions of men and women who are laying awake at night just trying to figure out how to stay in their homes and put food on the table.

I would not expect a parasitic lib to understand what that is like though.

This is the best course. The US government needs to get out of the business of proping up failing companies and allow them to fail. We need Darwinism with respect to Capitalism. I don't only blame Obama but Bush as well. Bush started bailing companies out towards the end of his presidency.

Hmmmm....is it just me, or does no one alive remember what happened in Great Britain after the war through the 1960s when they took over failing industries that could no longer compete. If not, let me quickly refresh your collective memories. It wasn't pretty, the English economy pretty much tanked, there were long dole lines, the unions ran amok, taxes were through the roof, the best and the brightest left for greener fields, and it was overall pretty much a bust. But then we never learn from other people's mistakes....i.e. France bailed out of Indo China for a reason, so the U.S. dove back in and that ended up working so well. Now we have cut rate tours to Ho Chi Minh city and Hanoi. Anyhow, get ready for some really dumb mistakes and bad days ahead. Hint don't buy any GM products for the foreseeable future.

BORN IN THE USA? Obama asks which public records you want to see On White House site, 30% answer establishing his eligibility to serve

-------------------------------------------------------------------------------- Posted: May 31, 2009 8:17 pm Eastern and some are suggesting he should start by releasing Barack Obama's long-form birth certificate to establish his constitutional eligibility to serve as president.

The forum is open to the public for participation, and Joseph Farah, editor and chief executive officer of WND, is urging those concerned about this issue to get involved.

"So far, only 30 percent of those who have posted believe establishing, beyond a shadow of a doubt, the president's constitutional eligibility to serve is an important task in conducting open government," Farah said. "I think that's appalling. Obama is very willing to release the secrets of previous administrations and very unwilling to release the most basic information about his own life and his own credentials to hold the highest office in the land. Let's take advantage of this public forum to 'speak truth to power,' as they say."

Meanwhile, as WND reported Friday, Obama's elusive long-form birth certificate that would establish his eligibility to serve as president as a "natural born citizen" is the hottest discussion topic at the Fox News Channel's website.

I don't know of anything, other than our military, where our government has done anything well. Or to phrase it another way, I don't know anything that they've become involved in that they didn't massively screw up.

That being said, it is a certainty that GM will begin to perform like everything else the government mishandles: pathetically. I'm sure in no time at all a minority, big campaign contributor to Obama's presidency will be the next CEO as well. Doesn't matter if they have any real world experience, as long as they have empathy.

But I do have a way to voice my opinion, to demonstrate to Obama my no vote for everything he is doing to destroy our country.

I will buy Ford cars, instead of GM. Not just because they didn't go running to daddy obama like a little baby crying for more milk, but because Ford will still be willing and able to make the cars I am willing to buy.

That's how capitalism works. And Ford will be rewarded generously for it. Meanwhile, GM will prosper like every other government run program....meaning without government bailouts, it will simply fade away....

As with any government controlled enterprise, this will end in total disaster. I for one will never purchase an automobile from any concern that the federal government has control over. One only need look at the Public Education System to see just how competent and effective the Feds are at things. Not that the union controlled Big 3 were that effcient anymore, but I do believe that this circumstance means the end of the UAW and the advancement of the Japanese auto industry. As usual, those who can't compete usually fail. The US Government is going to fail at the auto business. You can take that to the bank (which they now own also).